10/04/2012 @ 1:44PM6,509 views

What Employers Should Expect If Romney Is Victorious

This guest article by Jonathan R. Nadler and Joel Barras of Reed Smith LLP is the conclusion to a three-part series on the impact of the presidential election on employers. Click here for part 1 and part 2.

Although Mitt Romney has not provided many specifics in his policy proposals that spell out how they would impact labor relations and employment law, it’s clear that his outline for economic growth and job creation is based on less overall government regulation, including in the area of employer-employee relations. Given that approach, employers can expect the following if the GOP candidate prevails Nov. 6:

Reversal of executive orders governing federal contractors

Governor Romney has indicated that he will quickly take certain actions that do not require Congressional approval, including reversal of existing Executive Orders that: (1) prohibit federal contractors from using federal funds to oppose union organizing efforts; (2) strongly encourage the use of Project Labor Agreements; (3) require federal contractors to hire all the employees of another contractor when a contract for federal services changes hands; and (4) require federal contractors to post notices reminding employees that they may form and join labor unions.

More robust workplace immigration enforcement

Although a Romney administration generally will be expected to reduce regulatory enforcement, on the issue of immigration, employers should expect a push for a required use of a verification system for employers (building on the E-Verify system), with more robust enforcement against employers that employ individuals without required authorizations.

Limiting or reversing agency enforcement initiatives

Employers should expect a slowdown, or in some cases reversal, of the enforcement initiatives undertaken by the EEOC, NLRB and Department of Labor during the Obama administration, though a combination of direct policy changes by presidential appointees who will run these agencies, as well as proposed caps on agency spending. One side-effect of any such caps or spending cuts, however, is likely to be increased delays in the time in which federal agency investigations (such as EEOC charges and NLRB charges) are completed and resolved.

Legislation regarding secret ballot union representation elections

Responding both to recent proposals and initiatives that would have allowed unions greater opportunity to gain representative status based on a “card check” alone without a secret ballot election (the failed Employee Free Choice Act), and the NLRB’s controversial new regulations requiring “quickie elections” and other union election reforms, we would expect a Romney administration to advance legislation to restrict or ban the use of “card check” to secure representative status by a union, and establishing a minimum period for election campaigns, e.g., 30 days, to allow both employers and unions ample opportunity to make their case to employees prior to a secret ballot election.

At this point, with the election too close to call, employers should be giving consideration to the likely impact of either candidate prevailing on day-to-day operations, compliance requirements, and potential legal exposure.

Jonathan R. Nadler is a partner at Reed Smith LLP who represents employers at all stages of both traditional labor relations and employment law matters, including cases in federal and state court, arbitration, and mediation, as well as matters before the Equal Employment Opportunity Commission, the Pennsylvania Human Relations Commission, the National Labor Relations Board, and various other federal and state agencies.

Joel Barras, an attorney at Reed Smith LLP represents a variety of regional and national employers in collective bargaining, labor arbitration, and employment-related litigation. He is also labor counsel for a number of municipalities, representing them in their dealings with both union and non-union employees.

Post Your Comment

Post Your Reply

Forbes writers have the ability to call out member comments they find particularly interesting. Called-out comments are highlighted across the Forbes network. You'll be notified if your comment is called out.